Suspension of Staff: Former NEIP boss refutes claims of illegalities

Former National Entrepreneurship and Innovation Programme (NEIP) CEO Kofi Ofosu Nkansah has responded to the agency’s recent suspension of all staff, stating that temporary hiring measures during his tenure were necessary to meet World Bank program requirements.

When he took over, Nkansah explained, the agency’s eligibility for World Bank-funded projects was threatened by serious structural flaws, such as the lack of a procurement unit, which was fixed by hiring temporary employees on allowances rather than permanent payrolls.“Allowances are not illegal,” he asserted, emphasizing that statutory deductions like PAYE were properly applied, though Social Security and National Insurance Trust (SSNIT) contributions were excluded, as allowances do not mandate such payments. He dismissed claims by the opposition National Democratic Congress (NDC) of wrongdoing as politically motivated.

However, the suspension calls into question how transparent NEIP’s reorganization under the new leadership was. Although the agency has not made its motivations public, analysts surmise that the action may be a prelude to a more extensive audit or systemic change. The sudden shutdown also leaves impacted workers in a state of uncertainty regarding future rehiring procedures and severance.

Critics contend that the circumstance highlights ongoing conflicts in Ghana’s public sector between short-term staffing fixes and long-term institutional stability. Nkansah’s defense emphasizes how state agencies are frequently forced to take ad hoc actions in order to satisfy international funding requirements. However, the result—a complete suspension of employees—indicates that there may have been unresolved differences in the documentation or post-establishment management of these roles.

“On the NEIP HR issues, nothing illegal was done. When I took over, there were HR gaps we had to fill to qualify us for our World Bank Programmes for eg because there wasn’t even a Procurement Unit.So we filled those gaps with temporary Staff and put them on Allowances. Allowances are not illegal. You don’t pay SSNIT on Allowances. You only pay PAYE and it was done,”Kofi Ofosu Nkansah said.

 

 

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